Posts Tagged ‘Strath Goodship’

Belden Creates Broadcast Business Unit, Discloses Broadcast Revenue and Profitability

Broadcast technology vendor financials | Posted by Joe Zaller
Apr 25 2013

Belden announced that it will now report its earnings according to the following four business segments: Industrial Connectivity Solutions, Industrial Information Technology (IT) Solutions, Enterprise Connectivity Solutions, and Broadcast Solutions.

The company said that these reporting changes have no impact to Belden’s consolidated financial results and no adjustment to previously provided financial guidance or strategic goals is intended or implied by this announcement.

Belden will be reporting results under these new business segments on the beginning with its Q1 2013 earnings announcement.

As per the chart below, the company had previously reported its financials according to geography.

Belden Segmentation

 

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Belden CFO Henk Derksen said that the reporting changes are a more intuitive and insightful way to present Belden’s results going forward changes, and that the solutions-based orientation enables Belden to be more focused and agile as an organization, and provide investors with further transparency into the company’s business operations.

The broadcast business will continue to be managed by Strath Goodship (Miranda CEO), Dave Jackson, and Jimmy Rayford (Belden VP, Business Development).

Denis Suggs, EVP, Americas Operations & Global Cable Products, who had previously overseen the broadcast business, has decided to pursue opportunities outside of Belden. Denis will continue at Belden through July to allow for an orderly transition. “We thank Denis for his solid performance over the past six years, and appreciate the strong team he has assembled. We wish Denis the best in his future endeavors.” said John Stroup, president and CEO of Belden.

As shown below, the company’s broadcast solutions segment consists of Belden’s existing broadcast sales as well as those of Miranda (acquired in July 2012 for $362m) and PPC (acquired in December 2012 for $515.7m).

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Belden Broadcast Segment Financial Metrics

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Belden’s broadcast business had 2012 revenue of $362.6m in 2012.  However these results include only 5 months of revenue from Miranda, and minimal contribution from PPC.

According to Derksen, if full year 2012 revenue from both Miranda and PPC were included in the broadcast business figures, total broadcast revenue in 2012 was $684m with an operating margin of 13-15%. For reference, according to previously published reports Miranda’s last full year of reported revenue was approximately $180m, and PPC’s revenue in 2012 was approximately $238m.

As part of the changes to reporting, Belden will no longer report geographic results on a regular basis, but may occasionally report geographic results for illustrative purposes.  However, in order to help analyst transition their financial models, Derksen disclosed that 87.2% of 2012 broadcast revenue came from the Americas, 7.9% was from EMEA, and 4.9% was from APAC.

Similarly the company will not make product results available as the company mores from product sales to solution selling.

The company also said it will not be breaking out its operating expenses (R&D, G&A, and sales and marketing) on a segment basis.

Derksen said these changes were made because “the old way of looking at Belden is no longer insightful” due to the many changes at the company and in its markets over the past several years.

“This announcement marks another key milestone in the transformation of our business. We believe this action highlights our strategic focus on continuing to build leading global businesses with strong financial attributes. Through this, Belden can deliver even more value to our enterprise, industrial and broadcast customers around the world and quickly capitalize on new market opportunities,” said Stroup.

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Related Content:

Press Release: Belden Announces Formation of Global Business Segments

Revenues at Miranda Technologies Down 10 Percent in Q4 2012

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More Broadcast Vendor M&A: Belden Buys Miranda for $350 Million in All-Cash Deal

broadcast industry technology trends, Broadcast Vendor M&A | Posted by Joe Zaller
Jun 05 2012

Belden announced that it has entered into a definitive agreement to make an all-cash offer to acquire Miranda Technologies for C$345m, or C$17 per share.  Belden will finance the deal with $200m in cash and use debt for the rest. Belden says it has no plans for any changes to Miranda’s existing operations, including its Montreal base.

This is the fourth broadcast-related acquisition that Belden has made in the last two years.  The company has previously acquired Telecast Fiber Systems, LRC, and ICM. 

For Miranda, the deal is the culmination of six months of speculation about the company’s future, which started in December of 2011 when a group of activist shareholders petitioned to replace members of Miranda’s Board of Directors, and was further advanced in March 2012 when Miranda said it had decided to “hold discussions with potential strategic partners as part of the company’s review of ways in which to continue to enhance value and to build on the positive momentum that it has generated over the past two years.”

In a company video, Miranda CEO Strath Goodship said the deal is a good one for both Miranda and its customers, and that he expects the transaction to close in the third quarter of 2012.  Goodship also said that the current vision is for Belden to form a broadcast division using the Miranda brand, product portfolio, production, development and management teams, which will remain as part of the enlarged company.

For Belden, this transaction is the latest in a series of actions taken by the company to transform through expansion into attractive new markets.  Belden CEO John Stroup sees this deal as consistent with this strategy, calling it a “recipe for increased shareholder value.”

With the addition of Miranda to its line-up, Belden instantly becomes one of the largest players in the broadcast technology market.  According to its analyst presentation, Belden expects to have $495m in broadcast industry revenue when the acquisition closes.  At that time, broadcast will make up approximately 25% of Belden’s total revenue.

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Related Content:

Belden Press Release: Belden Enters Into a Definitive Agreement to Acquire Miranda Technologies for C$17.00 Per Share

Miranda Press: Release: Miranda Board Agrees to Recommend Belden Offer of $17.00 per Share http://dcft.co/LnFtKw

Belden Presentation: Belden Enters Into a Definitive Agreement with Miranda Technologies

Video: Miranda CEO Discusses Purchase of Miranda by Belden  

Miranda Reports Revenue Up 7 Percent in Q1 2012, No News on Sale Process

More Broadcast Vendor M&A: Miranda Exploring Strategic Options Through Structured Process

Thorsteinson Appointed to Miranda’s Board of Directors in Otherwise Uneventful AGM

Activist Shareholder Drama Continues at Miranda Technologies

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Miranda Reports Revenue Up 7 Percent in Q1 2012, No News on Sale Process

Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
May 11 2012

Miranda Technologies announced that its revenue for the first quarter of 2012 was C$42.2m, an increase of 7% versus the same period last year, and down 16% versus the previous quarter

On the company’s conference call, Miranda CEO Strath Goodship says the company continues to work toward its 11% annual growth target, and believe that this is achievable for the full year 2012.

The company declined to break out revenue from OmniBus for competitive reasons, but said it was “very encouraged” with the way the OmniBus business was going and the way the industry is developing towards integrated playout solutions.

Net profit for the quarter was C$928,000, down from C$2.3m last year, and down from $3.2m versus the previous quarter.  Adjusted net profit for the quarter was C$3.2m, up 65% versus the same period a year ago.

The company said its Q1 2012 results were driven by stronger sales in most geographies, with the USA, United Kingdom and other countries increasing 8%, 64% and 3% respectively. Sales in Canada were down 40% versus last year due to a large order in Q1 2011 that was not repeated this year.

Goodship cautioned that the strong increase in the UK number was not reflective of the local market because it is a distribution point for the rest of Europe and the Middle East.

EBITDA was C$3.9m for the quarter, down 29% versus Q1 2011, and down 55% versus quarter.  Adjusted EBITDA (which excludes share-based compensation costs, currency fluctuations, and other items) for the quarter was $6.8m, up 17% versus last year.

EBITDA as a percentage of sales was 9%, down from 14% last year, and down from 17% last quarter. Adjusted EBITDA was up 17% over 2011 to $6.8 million, representing 16% of sales. The company’s annualized EBITDA target range is 20% to 25%.

Gross margins for the quarter were 61%, up from 60% last year, and flat with last quarter.  The company said is gross margins in the quarter were positively impacted by pricing, product and customer mix.  These results are at the high end of the company’s gross margin target range of 57% – 61%.  On the company’s earnings call, Goodship said the company may consider raising margin targets in the future.

SG&A in the quarter was C$16.5m, or 39% of revenue, up 9% versus C$15.1m last year (38% of revenue) and C$15.7m last quarter (31% of revenue). The increase was largely due $800,000 of additional expenses related to special projects, including the company’s current review of strategic initiatives, along with higher selling expenses.

R&D expenses before tax credits were C$7.4m or 17% of sales, compared to C$7.6m or 19% of sales during the same period a year ago, and up from $6.2, or 12% of sales last quarter. The company said the year-over-year decrease was due largely to lower amortization charges. Quarterly R&D expenses, net of tax credits, were $6m or 14% of sales, versus $6.2m or 16% of sales in Q1 2011.

Net finance expense was $1.9 million for the quarter, up from $46,000 last year. The increase was largely due to unfavorable currency fluctuations in the current quarter, compared to last year, and an increase in the re-measurement of liabilities related to cash settled share- based payments.

 

Strategic Review

As widely reported last month, Miranda is in the process of conducting a structured process to evaluate a potential sale of the business.  The company said this review of strategic alternatives is well underway, and that although it is actively exploring its options, “no reportable event has yet to occur.” Miranda says the strategic review process is expected to last approximately until approximately mid-June 2012.

Goodship said that while he was pleased with the results in the seasonally lower first quarter of the year, the quarter was a little softer than expected.  He said this softness was a worldwide phenomenon, and that the US market continues to be soft.  However, Goodship said that he “still believes the year is going to pan out and ramp up in the usual profile, stepping up progressively in Q3 and Q4.  

“We continue to remain positive about the future growth prospects of the television industry. We are well placed to capitalize on new opportunities, to outperform market growth and drive profitable results,” said Goodship.

 

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Related Content:

Press Release: Miranda Reports First Quarter 2012 Results

Previous Quarter: Miranda Reports 27% Revenue Increase in 2011

Previous Year: Miranda Reports Thirty-Seven Percent Revenue Increase in Q1 2011

More Broadcast Vendor M&A: Miranda Exploring Strategic Options Through Structured Process

Thorsteinson Appointed to Miranda’s Board of Directors in Otherwise Uneventful AGM

Activist Shareholder Drama Continues at Miranda Technologies

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Thorsteinson Appointed to Miranda’s Board of Directors in Otherwise Uneventful AGM

Broadcast technology vendor financials, Broadcast Vendor M&A | Posted by Joe Zaller
Apr 25 2012

Miranda said that broadcast industry veteran Tim Thorsteinson was elected to its Board of Directors at the company’s Annual General Meeting (AGM). 

Thorsteinson, who was nominated for the position by Miranda’s management, ran unopposed for the board position vacated by Thomas Cantwell who announced his retirement earlier this year.

Miranda said that all other items put forth at the AGM were approved, including the re-appointment of its auditors and the adoption of an amended and restated shareholder rights plan

The low-key nature of Miranda’s AGM is in contrast to several months of activist shareholder drama at the company which began in December 2011 when two investment firms – JEC Capital Partners and JMB Capital Partners – who respectively own approximately 7.1% and 3.1% of Miranda’s outstanding shares — requisitioned a meeting of the shareholders of Miranda to replace four of the seven existing directors of Miranda with four new independent directors.

Last month Miranda effectively put itself up for sale when the company announced that it will “hold discussions with potential strategic partners as part of the company’s review of ways in which to continue to enhance value and to build on the positive momentum that it has generated over the past two years.”

Miranda’s announcement about a potential sale and the timing of its AGM, which was at the same time as last week’s the NAB show and caused several key Miranda executives to miss part of the show, created intense speculation about the company’s future ownership during NAB. 

Perhaps in recognition of this, Miranda president & CEO Strath Goodship said in a statement “We would like to thank our shareholders for their continued support. The Company remains committed to driving sustainable and profitable growth through the development of innovative solutions and go to market strategies.”

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Related Content:

Press Release: Confidence in Miranda’s Board Confirmed at AGM

More Broadcast Vendor M&A: Miranda Exploring Strategic Options Through Structured Process

Activist Shareholder Drama Continues at Miranda Technologies

JEC Press Release: Miranda Technologies: Business As Usual – Share Price Declines, Immediate Board Change Needed

Miranda Reports 27% Revenue Increase in 2011

JEC Press Release: JEC Capital Names Proposed Directors of Miranda Technologies Inc.

Miranda Rejects Activist Shareholder Request as Invalid

JEC Press Release: Miranda Technologies Calls Early Shareholders Meeting After Pressure From JEC and Other Concerned Shareholders

Activist Shareholder Remains Convinced That Miranda Technologies is Undervalued

Miranda Responds to Activist Shareholders

Activist Shareholders Seek To Replace Four Board Seats at Miranda Technologies

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Miranda Reports 27% Revenue Increase in 2011

Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
Mar 01 2012

Miranda Technologies reported that its revenue for the fourth quarter of 2011 was C$50.1m, an increase of 12% versus the same period last year, and up 3% versus the previous quarter.  The company said that one customer accounted for at least 10% of revenue in the quarter.

Net profit for the quarter was C$3.5m (16 cents per share), down from C$3.8m last year, and down 73% versus the previous quarter.  The company said that its profit in the quarter was negatively impacted by a C$2.2m foreign exchange loss and a C$1.5m increase in share-based compensation.

The results were below the expectations of equity analysts who on average were looking for revenue of C$51.9m with a net profit of 31 cents per share.

Revenue for the full year 2011 was C$181.9m, an increase of 27% versus 2010.  FY 2011 revenue includes a full year of contribution from OmniBus, which was acquired in September of 2010 and contributed C$6m to 2010 revenue.  Full year numbers for OmniBus were not disclosed so it’s not possible to determine how much of the company’s year-over-year growth was as a result of the OmniBus acquisition.

The company said its Q4 2011 results were driven by stronger sales in both the USA and United Kingdom, which increased 28% and 45% respectively, but cautioned that many of the sales recorded in the UK end up in other parts of Europe or the Middle East, because it is a distribution point for the company.   Sales in Canada and Other Countries were down 3% and 5% respectively.

EBITDA was C$8.7m for the quarter, up 10% versus Q4 2010.  EBITDA as a percentage of sales was 17%, down from 18% last year, and down from 32% last quarter. The company’s annualized EBITDA target range is 20% to 25%.

Gross margins for the quarter were 61%, at the high end of the company’s target range of 57% – 61%.  The company said is gross margins in the quarter were positively impacted by operational efficiencies, along with pricing, product and customer mix.

SG&A in the quarter was C$15.7m, or 31% of revenue, versus C$15.2m last year (34% of revenue) and C$15.3m last quarter. The increase was largely due to higher provisions for incentive plans.

R&D expenses before tax credits were C$6.2m or 12% of sales, compared to C$6.8m or 15% of sales in 2010. The decrease over 2010 is mainly due to a government grant received on qualifying R&D expenses for the development of technologies.

 

Full Year 2011 Results:

For the full year 2011, the company posted net profit of C$22.6m (up 100% versus 2010) on record revenue of 181.9m (up 27% versus 2010).

Full year EBITDA was up 65% versus 2010 to $C37.3m, or 21% of revenue, in line with the company’s 20% to 25% target range.

Full Year Gross Margins were 61% up from 60% in 2010, at the high end of the company’s targeted range.

 

“We had another strong quarter, capping off a very successful year,” commented Strath Goodship, Miranda’s President and Chief Executive Officer. “Revenues and profitability were at record levels for 2011, reflecting our success at offering innovative solutions that deliver real value to broadcasters and television service providers. The growth strategies we have undertaken in recent years delivered the strong operational and financial performance we have seen over the last eight quarters. We plan to build on this positive momentum and deliver sustained long-term shareholder and customer value.”

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Related Content:

Press Release: Miranda Reports 2011 Fourth Quarter and Year-End Results

Miranda Q4 2011 Management’s Discussion and Analysis (MD&A) Filing with Canadian Securities Regulators

Miranda 2011 Investor Day Presentation

Previous Quarter: Miranda Reports Record Revenue and Profit in Q3 2011, Raises Margin Targets

Previous Year: Miranda Reports Record Q4 and Full Year 2010 Results, Forecasts Continued Growth

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© Devoncroft Partners. All Rights Reserved.

 

 

 

Miranda Reports Record Revenue and Profit in Q3 2011, Raises Margin Targets

Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
Nov 07 2011

Miranda Technologies reported that its revenue for the third quarter of 2011 was C$48.8m, an increase of 29% versus the same period last year, and up 13% versus the previous quarter.  These results include an undisclosed contribution from OmniBus, which was acquired last year.

The results exceed the consensus estimate from analysts of C$46.2m.

The company attributed its results to the acquisition of OmniBus, as well as higher revenue in all geographies. Quarterly sales in Canada, the United States, the United Kingdom and Other Countries increased 106%, 6%, 150% and 25% respectively versus the same quarter in 2010.

Net profit for the quarter was C$13.2m, compared to C$6.0m during the same quarter last year, and C$3.5m in the previous quarter.  The company attributed the higher net profit to a one-time income tax adjustment of C$3m.

EBITDA in the quarter was C$15.7m, an increase of 97% versus last year, and an increase of 112% versus last quarter.  EBITDA as a percentage of sales was 32%, up from 21% in Q3 2010, and up from 17% last quarter. The company’s annualized EBITDA target range is 20% to 25%.

Gross profit as a percentage of sales was 62%, up from 58% last year, and 59% last quarter.  Miranda attributed this increase to a favorable customer and product mix, including sales of higher margin IT-based playout solutions, along with foreign exchange gains. Based on these strong results, Miranda increased its gross margin target range to be within the 57% to 61% range.

SG&A in the quarter was C$15.3m, versus $12.7m last year and C$15.1m last quarter.  The company said this increase was largely due to the OmniBus acquisition and an increase in selling expenses. SG&A as a percentage of sales was 31%, down from 34% last year and 35% last quarter.

R&D expenses in the quarter were C$6.8m, unchanged from last year, and down from C$7m last quarter. R&D as a percentage of sales was 14% for the quarter, down from 18% in 2010.

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“This marks the seventh consecutive quarter that the Company has registered year over year organic volume growth and gross margins in or above our targeted range,” said Miranda CEO Strath Goodship. “We are seeing solid traction in our business, reflecting our strong
portfolio of leading edge solutions and our continuous focus on business execution.

“Television markets have remained strong in several parts of the world. We are seeing solid traction for our established products and growing interest for our new IT-based playout and monitoring platforms. We continue to be optimistic about the future and expect television markets to be underpinned by key events, such as the 2012 Olympics and US elections. With an expanding portfolio of innovative solutions and a strong balance sheet, we believe the Company is well positioned to deliver continued financial progress and outpace addressable market growth.”

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Related Content:

Press Release:  Miranda Reports Third Quarter 2011 Results: Revenue and Profitability at Highest Levels in Company History

Miranda Q3 2011 Management’s Discussion and Analysis (MD&A) Filing with Canadian Securities Regulators  (catchpa)

Previous Quarter: Miranda Reports 35 Percent Revenue Growth, Strong Profit in Q2 2011

Previous Year: Miranda CEO Upbeat About Future as Q3 2010 Revenue up 19%, Net Income Jumps 520%

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Miranda Reports 35 Percent Revenue Growth, Strong Profit in Q2 2011

Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
Aug 11 2011

Miranda Technologies reported that its revenue for the second quarter of 2011 was C$43.2m, an increase of 35% versus Q2 2010, and up 9% versus the previous quarter.

The company attributed its sales growth in the quarter to higher revenue in all geographies, with sales in Canada, the United States, the United Kingdom and Other Countries increased 198%, 44%, 93% and 3% respectively over 2010.  Miranda also said its revenue was boosted by the acquisition of OmniBus, which was close in late 2010.

Net profit was C$3.5m, flat versus Q2 2010.  Net cash flows generated from operating activities were C$1.1m for the quarter. EBITDA was C$7.4m for the quarter, up 23% over 2010. EBITDA as a percentage of sales was 17%.

Gross profit as a percentage of sales was 59%, down slightly from 60% last year, largely due to the unfavorable impact of foreign exchange compared to 2010, but partially offset by the sale of higher margin products from OmniBus.

SG&A jumped 23% versus Q2 2010 to C$15.1m.  Miranda attributed the increase to higher sales and amortization costs associated with the acquisition of OmniBus, along with higher selling expenses. SG&A as a percentage of sales was 35%, down from 38% last year.

R&D expenses were C$7.0m or 16% of sales for the quarter, compared to $6.1m million and 19% respectively in 2010. The increase was largely due to higher R&D and amortization costs associated with the OmniBus acquisition.

Miranda CEO Strath Goodship issued and upbeat statement saying “Business momentum has clearly grown over the past year, resulting in notable gains in revenue and profitability. We are seeing strong organic growth and we continue to make good progress with our IT-based playout offerings,
where we are a clear leader. The improving television markets we have enjoyed in recent quarters continue to strengthen in several parts of the world, furthermore, our position is building in emerging markets, while our competitive edge extends in developed markets with our IT-based playout and monitoring technology growth platforms. This combined with our strong financial position and some key upcoming events, such as the 2012 Olympics and US elections, should further support our business and allow us to profitably gain further market share.”

 

Related Content:

Press Release: Miranda Reports Second Quarter 2011 Results: Revenue and Profitability Remain Strong

Miranda Q2 2011 Management’s Discussion and Analysis (MD&A) Filing

Previous Quarter: Miranda Reports Thirty-Seven Percent Revenue Increase in Q1 2011

Previous Year: Miranda’s Q2 Earnings Increase as Expenses Fall, Sees Increased Order Activity

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Miranda Reports Thirty-Seven Percent Revenue Increase in Q1 2011

Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
Jun 02 2011

Miranda Technologies reported that its revenue for the first quarter of 2011 was C$39.8m, an increase of 37% versus the same period last year, and down 11% sequentially. Excluding the impact of foreign exchange, revenue improved 44% versus the first quarter of 2010.

Miranda said the year-over-year increase was due largely to the acquisition of OmniBus.  However the company did not break out the contribution from OmniBus, despite repeated questions from analysts on the company’s conference call, so it is difficult to know how much of the company’s year-over-year growth is organic.

On a geographic basis revenue increased in all territories, with Canada, the United States, the United Kingdom and Other Countries, increasing 31%, 38%, 212% and 23%, respectively over the prior year. Canada, the United States, the United Kingdom and Other Countries generated 10%, 32%, 10% and 48% of quarterly sales respectively.

Gross margin as a percent of sales were a strong 60%, up from 58% during the first quarter of 2010. The company attributed the increase in gross margin to favorable changes in product and customer mix, supported by the higher margin solutions offered by OmniBus.

Net profit in the quarter was C$2.3m versus a loss of C$1.6m during the same period a year ago. EBITDA was C$5.5m for the quarter, up 674% over the same period in 2010. EBITDA as a percentage of sales was 14%, versus 2% in the prior year.

“The recovery in broadcast markets, that began last year, continued and strengthened in the quarter, resulting in strong quarterly results,” said Strath Goodship, Miranda’s President and Chief Executive Officer. ”

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Related Content:

Miranda Press Release: Miranda Reports First Quarter 2011 Results

Miranda Q1 2011 Management Discussion and Analysis (MD&A) filing with Canadian securities regulators

Miranda Reports Record Q4 and Full Year 2010 Results, Forecasts Continued Growth

Press Release: Miranda-Reports-First-Quarter-2010-Results

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Miranda Reports Record Q4 and Full Year 2010 Results, Forecasts Continued Growth

broadcast industry trends, Broadcast technology vendor financials, Broadcast Vendor M&A, Quarterly Results | Posted by Joe Zaller
Feb 24 2011

Miranda Technologies said today it achieved record revenue for the fourth quarter and full year 2010, driven by a strong international sales performance, and helped by the contribution from recently acquired automated playout provider OmniBus Systems.

Revenue for the fourth quarter was a record C$44.9, up 26% versus the same period a year ago, and up 19% versus the previous quarter. OmniBus, which was acquired in September of 2010, contributed C$6m during the quarter.   Excluding OmniBus, Q4 revenue grew 9% versus the same period a year ago.

Q4 net income was C$3.8m, up 82% from Q4 2009 but down 42% from the previous quarter when the company was helped by a C$1.3m reduction in income taxes as well as a one-time tax credit of C$2.4m.  OmniBus recorded a net loss of $0.2m during the quarter. Excluding OmniBus, Q4 net income was up 92%.

Gross margins for the quarter were 60%, up seven percentage points versus the same quarter a year ago, and exceeding the high-end of the guidance the company issue during a recent investor presentation. The company attributed its strong margin performance to improved pricing, product and customer mix, including the sale of higher margin solutions associated with OmniBus, along with operational efficiencies.  Miranda says it expects gross margins to continue to be at the high-end of its targeted range of 55% – 59%.

EBITDA was C$8.1m for the quarter, up 57% over Q4 2009. EBITDA as a percentage of sales was 18%, up three percent versus the same period a year ago.

Q4 Revenues increased in all geographies versus the previous year, with Canada, the United States and Other Countries, growing 596%, 24% and 14%, respectively. Canada, the United States and Other Countries generated 7%, 38% and 55% of quarterly sales respectively.

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For the full year 2010, the company posted net income of C$12.2m (up 122% versus FY 2009), on record revenue of C$143.7m (up 9% versus FY 2009), with OmniBus contributing C$7.9m since it was acquired.

Excluding OmniBus, 2010 was C$135.7m, up 3% over 2009, while net income was up 122%.

On a geographic basis, full year 2010 sales from the international region increased 15% over 2009 to C$78.3m, while sales to the United States were down 3%, coming in at C$55.5m.

On the company’s conference call with equity analysts, Miranda president and CEO Strath Goodship said that the broadcast market improved during 2010 and that the company was able to capitalize on this.  He said that US broadcast market is experiencing steady recovery and that Q4 2010 was “reasonably good” in the US, but not back to 2008 levels.  However, he said that emerging markets had returned to 2008 levels, and that he expects 2011 to be a “pretty good” year.

Goodship mentioned several key product areas as revenue drivers, including the launch of the Nvision hybrid router, which has said was a big success in the market.  He also reported that infrastructure sales continued to be strong as customers worldwide continue to upgrade to HDTV operations.

Not surprisingly, Goodship spent time during the call discussing the acquisition of OmniBus, stating that the purchase of the automated playout provider was one of the company’s “most pivotal moves to date” and that it has increased Miranda’s addressable market by 40%.  Goodship says that the OmniBus integration program is progressing rapidly.  Subsequently company CFO Mario Settino said that the company has not yet fully realized the synergies of the mergers but that plans are in place to do this later in the year.

When asked by an analyst about growth at OmniBus, Goodship said that while the unit’s overall revenue growth was relatively flat, the iTX product line had experienced “dramatic growth.” 

Commenting on the potential for continued revenue growth at Miranda, Goodship said that the company believes it can continue to grow faster than the market.

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You can read the full Miranda Q4 and FY 2010 press release here.

Information on Miranda’s previous quarter performance is here.

A recent press release about Miranda’s progress with the OmniBus integration is here.

Miranda buys OmniBus story is here.

Miranda’s Most Recent Investor Presentation is here.

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Miranda CEO Upbeat About Future as Q3 Revenue up 19%, Net Income Jumps 520%

broadcast industry technology trends, Broadcast technology vendor financials, Quarterly Results | Posted by Joe Zaller
Nov 12 2010

Broadcast infrastructure, graphics and automation vendor Miranda Technologies reported that its revenue for the third quarter of 2010 was C$37.7m, up 19% versus the same period a year ago, and up 17% versus the previous quarter.  Revenue from recently acquired automation provider OmniBus Systems was C$1.9m in the quarter. Excluding the contribution from OmniBus, the company’s revenue grew 13% versus Q3 2009, and 12% versus the previous quarter.

Revenue was up in all geographic territories, with Canada, the United States and Other Countries, growing 68%, 26% and 10%, respectively over the prior year. Canada, the United States and Other Countries generated 7%, 41% and 52% of quarterly sales, respectively.

Net income in the third quarter was C$6.6m, 520% higher than the third quarter last year, while EBITDA jumped by 167% to C$8.8m versus Q3 2009.

The company’s performance during the quarter was helped by a C$1.3m reduction in income taxes, and C$3.7m of R&D tax credits, up from C$1.2m during the same quarter a year ago. Miranda said that this increase in R&D tax credits was “mainly due to the resolution of previous years’ matters in the amount of $2.4 million.” Excluding this, R&D tax credits for the quarter were C$1.3m.

Gross margins were 58% of sales, up from 55% in Q3 2009, but down from 60% last quarter.

Company president & CEO Strath Goodship issued an upbeat statement, saying “We are encouraged by the steady improvement in U.S. broadcast markets and strong customer interest we are seeing across our product lines. We are excited about our prospects, particularly with the addition of OmniBus.  We remain committed to driving profitable growth, both organically and through acquisitions, and with a strong balance sheet we are well placed to capitalize on improving market conditions.”

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You can read the full Miranda Q3 earnings announcement here.

Information about Miranda’s Q2 2010 results is here.

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